return icon Vietnamnet.vn

State Securities Commission prioritises stabilising solutions for stock market

The State Securities Commission (SSC) is closely monitoring the developments of the economic - political situation, assessing the influence on Viet...

Viet Nam's stock market is in a strong correction, down nearly 19 per cent since its peak in early April. — Photo tinnhanhchungkhoan.vn

The State Securities Commission (SSC) is closely monitoring the developments of the economic-political situation, assessing the influence on Viet Nam's stock market in order to promptly take appropriate solutions aimed at stabilising the domestic stock market, said a representative of SSC.

Viet Nam's stock market is in a strong correction, down nearly 19 per cent since its peak in early April.

In a recent interview with Vietnam News Agency, a representative of the State Securities Commission (SSC) said that the domestic stock market was going through a strong adjustment period, due to the combined impact of domestic psychological factors as well as risks from the international market such as the Fed raising interest rates sharply, unresolved geopolitical tensions, inflationary pressures, sharp increases in input prices and rising energy prices.

Although the Vietnamese stock market is still highly expected to recover and grow again in 2022 and in the following years, in the context of recent high volatility, the management agency is giving special priority to short-term solutions to help stabilise the market and reassure investors' sentiment.

"The State Securities Commission, the stock exchanges, and the Viet Nam Securities Depository Center have met with many market members and securities companies to assess the current situation as well as discuss solutions in both the short and medium-term for the market to overcome difficulties. This year, there will be changes in a positive direction, which is expected to support the market to increase liquidity, as well as improve transparency," said the representative.

As for medium and long-term solutions, the SSC's leaders said that the management agency is actively completing the legal framework for the stock market, perfecting the development of the stock market development strategy by 2030 to clearly define long-term goals, solutions and roadmap for market development.

SSC is reviewing, evaluating and summarising to recommend the shortcomings in the legal framework of the Law on Securities and the system of guiding documents on securities trading, especially regulations on transparency of corporate information, rights and responsibilities of participants, sanctions for violations on the market, thereby restoring confidence and trust of investors.

"In the near future, we will have more solutions to improve operational efficiency, service quality, financial capacity, and professional ethics of service providers in the market, especially securities companies, independent auditing companies, fund management companies, asset valuation companies, credit rating agencies, accounting and auditing companies," the representative said.

For foreign capital flows, in addition to solutions to attract the participation of foreign investors, the State Securities Commission is also accelerating solutions to shorten the process of upgrading Viet Nam's stock market from frontier to emerging status.

"Although the upgrade will depend greatly on market rating agencies, the State Securities Commission is coordinating with relevant agencies to agree on solutions, set out a clearer roadmap, and strive for higher standards. We hope that Viet Nam's stock market will be upgraded as soon as possible, achieving the target set by the Government.”

Previously, leaders of the Ministry of Finance in many public statements also said that the correction only lasted in the short-term, and that the Vietnamese stock market still had positive supporting factors such as a stable macroeconomy. In the future, Viet Nam's stock market will develop more strongly with better quality, affirming its role as the main medium- and long-term capital mobilisation channel of the economy and businesses.

Assessing the Vietnamese stock market from now until the end of 2022, many experts believe that the Vietnamese stock market still has a lot of growth potential when many positive factors continue to be maintained. The COVID-19 pandemic is still better controlled, the macro fundamentals are still firm, economic activities are restored, domestic consumption recovers, and international tourism activities are gradually reopened. These are very important factors for Viet Nam's GDP growth to reach 6.5 – 7 per cent.

Along with that, production and business activities of enterprises continued to prosper. In the first quarter of 2022, 86 per cent of listed and large-scale public companies registered for trading have announced profitable reports, higher than 83 per cent of the same period in 2021.

The number of newly opened securities accounts has continuously increased in recent years. In April 2022 alone, there were 231,275 newly opened securities accounts, bringing the total number of securities trading accounts to more than 5.2. million and currently accounts for about 5 per cent of the population.

Source: VNS

MORE NEWS

VIETNAM NEWS HEADLINES JUNE 25

Exhibition spotlights Hue’s enameled bronze art

VIETNAM BUSINESS NEWS JUNE 25

Government seeks to resolve businesses’ capital shortage

Online exposure confers stardom on young singers

Restrictions on traditional entertainment channels by the Covid-19 pandemic have turned out to be a blessing in disguise for some young singers presenting their talents online.

Hanoi's transport department proposes more vehicles using the exclusive BRT lane

Hanoi Department of Transport has proposed the municipal People's Committee to allow passenger cars with 24 seats or more, official vehicles, ambulances and fire trucks to use Bus Rapid Transit (BRT) lanes in the capital.

16 Vietnamese designers to open Thailand Fashion Week 2022

A fashion collection by 16 young Vietnamese designers is set to open Thailand Fashion Week 2022 for the first time, with the outfits on show featuring images of Vietnamese cultural heritages.

The man who helps Vietnamese find their biological parents

Do Hung Phuc’s joy is to help those who lost their parents at birth to find their roots. In three years, the young man has created many magical and emotional reunions.

US increases coffee imports from Vietnamese market

The market share of Vietnamese coffee as part of the United States’ total imports increased from 8.95% to 9.6% during the opening four months of the year, according to statistics compiled by the General Department of Vietnam Customs.

Teenager specializes in diaphonization of animals

Two years ago, after he saw images of diaphonized specimens on the internet, Nguyen Tien Minh Duy, 15, from Buon Ma Thuot City began searching for information and learning about diaphonization.

Universities use ‘conflicts’ to help students learn more about business

Future schools need to be good at designing experiences for students to help them in their career and purpose, Lee Newman from Spain’s IE University said in an interview with VietNamNet.

Famous painter Bui Xuan Phai's works on display for first time

Sixty works by late famous painter Bui Xuan Phai, many of which were created toward the end of his life, are on display in Ho Chi Minh City.

5-year-old Hanoian conquers highest mountains in Vietnam

Dang Quang Vinh, together with his parents, has climbed the five highest mountains in Vietnam, including Lao Than, Lung Cung and Nhiu Co San, which even adults dare not climb.

Belgian comic artist, musician to attend Hue Festival 2022

Belgian comic artist Dany and musician-singer Konoba will represent artists from the Wallonie-Bruxelles region at Hue Festival 2022, according to the Wallonie-Bruxelles delegation in Vietnam.

Family has 3 kids with small stature

The family of Doan Thi Nhan in Hoang Viet hamlet, Tan Phuoc commune of Tan Hong district in Dong Thap, in the Mekong Delta, has a number of children with small stature.

Vietnamese player wins first int’l badminton title at Croatia Open

Vu Thi Anh Thu of Vietnam secured a gold medal in the Croatia Open badminton tournament on June 23 in Dubrovnik.

Face masks and community immunity

Recently, I visited a government agency. The security guards, who were not wearing face masks, did not allow me to enter the agency because I did not have a mask.
back_to_top